Zoom Communications (NASDAQ:ZM) Stock Rating Reaffirmed as “Buy” by BTIG Research

Zoom Communications (NASDAQ:ZM)‘s stock had its “buy” rating reissued by BTIG Research in a research report issued on Wednesday, Benzinga reports. They presently have a $125.00 target price on the stock. BTIG Research‘s price objective points to a potential upside of 28.26% from the company’s current price.

Several other equities research analysts also recently issued reports on ZM. Royal Bank Of Canada reaffirmed an “outperform” rating and issued a $130.00 price target on shares of Zoom Communications in a research report on Wednesday, August 26th. UBS Group reaffirmed a “neutral” rating and issued a $112.00 price target on shares of Zoom Communications in a research report on Wednesday. Yorkville Ives started coverage on Zoom Communications in a research report on Tuesday, October 6th. They issued an “outperform” rating and a $120.00 price target on the stock. Bank of America started coverage on Zoom Communications in a research report on Wednesday, August 19th. They issued a “buy” rating and a $130.00 price target on the stock. Finally, Rosenblatt Securities reaffirmed a “buy” rating and issued a $130.00 price target on shares of Zoom Communications in a research report on Wednesday. Sixteen equities research analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $114.48.

Zoom Communications Price Performance

NASDAQ ZM opened at $97.46 on Wednesday. Zoom Communications has a fifty-two week low of $70.70 and a fifty-two week high of $114.74. The stock’s 50-day moving average is $96.88 and its two-hundred day moving average is $94.88. The firm has a market cap of $28.44 billion, a P/E ratio of 9.02, a price-to-earnings-growth ratio of 4.51 and a beta of 1.03.

Zoom Communications (NASDAQ:ZM) last posted its earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share for the quarter, beating the consensus estimate of $1.48 by $0.07. Zoom Communications had a return on equity of 10.86% and a net margin of 65.19%. The company had revenue of $1.28 billion for the quarter, compared to analyst estimates of $1.27 billion. During the same period last year, the company earned $1.53 earnings per share. The business’s revenue was up 4.9% compared to the same quarter last year. Zoom Communications has set its FY 2027 guidance at 6.080-6.120 EPS and its Q3 2027 guidance at 1.460-1.480 EPS. On average, equities analysts expect that Zoom Communications will post 4.27 EPS for the current year.

Insider Activity at Zoom Communications

In other Zoom Communications news, CFO Michelle Chang sold 8,489 shares of Zoom Communications stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $99.46, for a total transaction of $844,315.94. Following the sale, the chief financial officer directly owned 40,438 shares of the company’s stock, valued at approximately $4,021,963.48. The trade was a 17.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Herbert Raymond Mcmaster sold 3,000 shares of Zoom Communications stock in a transaction that occurred on Thursday, October 8th. The shares were sold at an average price of $94.71, for a total value of $284,130.00. Following the sale, the director directly owned 8,479 shares in the company, valued at $803,046.09. The trade was a 26.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 71,209 shares of company stock valued at $6,938,989. Corporate insiders own 8.83% of the company’s stock.

Institutional Investors Weigh In On Zoom Communications

A number of institutional investors have recently added to or reduced their stakes in ZM. Atreides Management LP acquired a new stake in Zoom Communications during the first quarter valued at approximately $105,761,000. Rubric Capital Management LP acquired a new stake in Zoom Communications during the first quarter valued at approximately $80,471,000. Bank of America Corp DE boosted its holdings in Zoom Communications by 50.5% during the first quarter. Bank of America Corp DE now owns 1,767,728 shares of the company’s stock valued at $142,108,000 after purchasing an additional 592,899 shares in the last quarter. BlueCrest Capital Management Ltd acquired a new stake in Zoom Communications during the second quarter valued at approximately $43,925,000. Finally, KBC Group NV boosted its holdings in Zoom Communications by 69.1% during the first quarter. KBC Group NV now owns 1,193,027 shares of the company’s stock valued at $95,907,000 after purchasing an additional 487,384 shares in the last quarter. 66.54% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Zoom Communications

Here are the key news stories impacting Zoom Communications this week:

• Positive Sentiment: Oppenheimer upgraded Zoom Communications (ZM) from “market perform” to “outperform” and set a $130 price target, citing a more constructive outlook for the stock.
• Positive Sentiment: Rosenblatt Securities reaffirmed its “buy” rating with a $130 target, while BTIG Research maintained its “buy” rating and $125 target. The targets point to substantial potential appreciation from current levels.
• Positive Sentiment: At Zoomtopia, the company introduced a Unified Context Layer and additional AI-powered products intended to convert meeting conversations into completed work across Zoom Workplace, customer experience, developer tools, and events. The initiatives support management’s effort to expand Zoom beyond video conferencing and create new revenue opportunities. Zoom AI strategy announcement
• Positive Sentiment: Tools for Humanity joined Zoom’s ISV Exchange Program, adding capabilities related to proof of human access for business customers. The partnership could strengthen Zoom’s ecosystem and address authentication needs as AI-generated content becomes more prevalent. Tools for Humanity partnership
• Neutral Sentiment: Cantor Fitzgerald reaffirmed its “neutral” rating but increased or maintained its target at $104, suggesting limited upside relative to the more bullish analyst forecasts.
• Neutral Sentiment: Investor commentary is focusing on Zoom’s AI-first repositioning, cash-rich balance sheet, and potential to become a broader workplace platform. These arguments may support valuation, but execution and the company’s relatively modest growth remain important risks. Zoom investor session transcript

About Zoom Communications

Zoom Communications, Inc (NASDAQ: ZM) is a communications technology company that provides cloud-based collaboration and customer engagement solutions. Founded in 2011 and headquartered in San Jose, California, the company is best known for Zoom Meetings, its videoconferencing platform for online meetings, webinars and virtual events.

The company’s product portfolio also includes Zoom Phone, a cloud-based business phone service; Zoom Team Chat; Zoom Rooms for hybrid meeting spaces; Zoom Whiteboard; and Zoom Contact Center.